allamerican2003

Most affiliates have a minimum payout of $50 per month, some even have minimum payouts of $100 a month. How much do you think this benefits the company?

I've tried new sponsors where I sent them 10,000 hits with 2 sales and have only acquired $40 when i the minimum payout is $50. I'm sure many of you have had this happen before.
I have my usual affiliate program where I convert 1 in 400 (tgp traffic) consecutively, so it wasn't worth continuing when I only converted 1 in 5000 with a new sponsor. I just realized that this has to be the 8th or 9th sponsor I tried and havent made the minimum payout to get paid, and just dropped their links.

How well does this benefit a company that process their own bills and do thier own payouts. I mean that $40 dollars here is no big deal, but after I've done this 8 or 9 times, that means there is a good $500 bucks of my money sitting out there which I will probably never receive. ($500 is not much, but it could cover my car insurance for 2 months.)

It is my money I did work for it... So are minimum payouts just for convienience (less mailings of checks) or the fact that they realize that making a minimum payout rate will just bring them in more revenue.

(This thread wasn't meant towards any particular sponsor, I'm not looking to bash anyone, I was just curious as for the reasons of having minimum payouts)
~AA